Aliko Dangote, the richest man in Africa and the founder of Dangote Cement Plc, has announced plans to repurchase up to 10% of the company's outstanding shares for a total of N406 billion ($917 million).

One of the resolutions that will be reviewed by the major cement manufacturer at its Extraordinary General Meeting (EGM) on Tuesday, December 13, at Zinna Hall, Eko Hotel & Suites in Lagos, correlates with the next stage of its expansion goals.

The cement producer will repurchase 1.704 billion of its shares, or 10% of its 17.04 billion outstanding shares, at the going market price following the EGM's ratification of the resolution.

Dangote Cement noted that the shares will be repurchased from profits and that the repurchased shares may be kept as treasury shares or canceled, resulting in a fall in share capital.

It also stated that none of its directors, including Dangote, who has an 86-percent stake in the cement company, will be taking part in the share buyback program.

Dangote Cement is Africa’s largest cement producer, with a 51.55-million-tonne-per-year production capacity spread across ten countries. Africa’s richest man Aliko Dangote owns 86 percent of Dangote Cement through his manufacturing group Dangote Industries Limited.

Nearly 10 months ago, the cement behemoth repurchased a total of 126,748,153 shares, or 0.74 percent of its issued and fully paid ordinary shares, at an average price of N276.89 ($0.667) per share.

The company noted that the share buyback decision, which is consistent with its corporate strategy, is a conscious endeavor by the board to improve intrinsic value and an indirect means to increase its return on equity and shareholder value.